Author Question: Which of the following is emphasized by supply-side economics? a. The impact of budget deficits on ... (Read 40 times)

123654777 · **on:** Jun 30, 2018

Which of the following is emphasized by supply-side economics?
a. The impact of budget deficits on interest rates and aggregate demand.
b. The impact of government spending on aggregate demand, output, and employment.
c. The impact of marginal tax rates on aggregate supply.
d. The impact of budget deficits on the rate of taxation in the future.

Question 2

Experience with the Phillips curve since the 1970s has shown that the:
a. curve can be used as a reliable model to guide public policy.
b. relationship between the inflation rate and the unemployment rate moves in a clockwise direction.
c. curve is not stable.
d. inflation rate and the unemployment rate are equal.